Dáil Éireann Debate, Tuesday - 16 November 2021
159. Deputy Darren O'Rourke asked the Minister for the Environment, Climate and Communications the reason the plans to rent and import 200 megawatts of emergency gas generators in winter 2021 have been abandoned; the amount which was spent on the attempted procurement; if the State or a semi-State body will face fines for abandoning this plan; if so, the estimated amount; and if he will make a statement on the matter. [55953/21]
View answerThe Commission for Regulation of Utilities (the CRU) has statutory responsibility, under S.I. 60 of 2005, to monitor and take measures necessary to ensure the security of electricity supply in Ireland. The CRU is assisted in its statutory role by EirGrid, the electricity transmission system operator.
The CRU is an independent statutory body. The Electricity Regulation Act (ERA) 1999 states that the CRU shall account for the performance of its functions to a Joint Committee of the Oireachtas, and not to me as Minister. Given this CRU statutory accountability to an Oireachtas Committee, the Deputy may wish to note that CRU provide a dedicated email address for Oireachtas members, which enables them raise questions directly to CRU at oireachtas@cru.ie for timely direct reply.
On 16 June 2021, the CRU wrote to me seeking my consent, under Regulation 28(10) of S.I. 60 of 2005, to allow them to direct EirGrid, to secure the delivery of circa 200 MW of temporary emergency generation. It was intended that this generation would be delivered in advance of this winter. I provided my consent by letter on 23 June 2021.
I understand that, while the ESB and its North Wall site was identified as the preferred location for delivering this project, it was ultimately not technically feasible to deliver the generation in the timeframe and no contract was entered into by EirGrid to do so. It should also be noted that the risk to security of electricity supply had reduced with the outlook for the return of two key gas-fired power stations having improved. One of these power stations is now back in operation with the other expected to return to full operation this week.
I also understand that the ESB has not yet submitted a claim seeking to recover costs that they incurred in carrying out preliminary works prior to the decision not to proceed with the project. The assessment of such a claim, if one was to be made, is a matter for EirGrid and the CRU. I am not aware of any fines that would be applicable in relation to this procurement not proceeding.
I would note that a new procurement for temporary emergency generation to be provided in advance of next winter (i.e. winter 2022/23) has since commenced with my consent.
Expenditure under either procurement process is a matter for the CRU. I, as Minister, have no role in sanctioning or approving expenditure in this regard.
